Firms seal Bahrain Logistics Zone deals

Manama, October 14, 2009

Two more foodstuff related companies have signed lease agreements with the Bahrain Logistics Zone (BLZ).

They are among a wave of foodstuff related firms to sign lease agreements at the BLZ as they expand their business on increased business opportunities.

A number of companies have so far completed procedures for signing, with the latest firms to sign up being Mohamed Ali Zainal Abdulla (Maza) and Chunilal Purushottam & Company for plots of 4,500 sq/m and 3,900 sq/m, respectively.

'The BLZ has received a very good response from companies who have witnessed strong growth in the region, as evidenced by these new leases which have now been signed with BLZ tenants,' General Organisation of Sea Ports director general Hassan Al Majed said.

'The encouraging feedback that we have been receiving indicates that there is a growing market for the logistics industry and that Bahrain's position as a key gateway for the rest of the Middle East is a major deciding factor in the companies' selection of BLZ as the new home for their operations and as an alternative food distribution hub in the region.'

With plans to move their operations to Bahrain as a central hub, Chunilal Purushottam has been in Bahrain since 1948, and is today recognised as one of the leading distributors, importers/exporters and producers of international food products in the region.

The company primarily deals in tea, rice, dairy products, spices and pulses.

Chunilal Purushottam plans to shift its present production facilities from various countries into a central hub in Bahrain.

This is to facilitate faster deliveries and more competitive prices to enable the company to better penetrate both the Middle Eastern and international markets, whilst maintaining quality and adding value to Bahrain's industrial activities.

Among the expansion activities which will be moved to Bahrain over three phases are a tea-packaging and blending unit that is currently in Sri Lanka and India, rice polishing and generic food re-packaging.

'We are aiming to develop Bahrain as a hub for region-wide food distribution as Bahrain's favourable geographical location makes it easily accessible by sea, road and air,' Patel Group of Companies chairman C V Patel said.

Maza was established in Bahrain in 1930, and has over 75 years of experience in foodstuff trading and distribution.

The company's BLZ operation will be a subsidiary that will focus on providing logistical services to the mother company and other third parties.

With plans to construct their own facilities at the BLZ, Maza will instal packaging lines for the packaging of various consumer goods geared towards regional export.

'Maza has a long legacy of trading in Bahrain and the region, and throughout our 80 years, we have continued to find new channels of growth and ways of delivering top-quality to our customers,' Maza finance director Mohamed Ebrahim Zainal said.

'Our new operations at the BLZ mark the latest move in our company's development and will help streamline our activities.'-TradeArabia News Service